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access icon free Optimal stochastic scheduling of thermal-wind GENCOs trading in the day-ahead market including bilateral contracts with BSS

© The Institution of Engineering and Technology
Received 10/01/2018, Accepted 17/04/2018, Revised 04/04/2018, Published 27/04/2018

With the traditional vertically integrated electric market transforming into a liberalised one, the generation side consisting of various generation companies (GENCOs) is separated from the grid. This transformation gives opportunity for GENCOs to enhance their own profits by expanding business. One example is to establish bilateral contracts directly with the end users. This study considers a thermal-wind GENCO trading with the grid in the pool-based electricity energy market and meanwhile signs bilateral contracts with a battery swapping station (BSS). The operation framework for this GENCO to maximise its profit under uncertain information is proposed. A two-stage stochastic model is adopted to formulate the profit of the GENCO with the uncertain wind power, electricity market price and stochastic BSS electricity demand. The stochastic problem is transformed into deterministic mixed-integer linear programme and solved by CPLEX. The impact of bilateral contract capacity, contract price, degree of uncertainties and the wind power penetration on the final profit is analysed. This work provides a novel operation framework for GENCOs, and provides feasible bidding strategy and scheduling under uncertain conditions, especially for GENCOs owning renewable energy.

Inspec keywords: stochastic processes; integer programming; power generation economics; wind power plants; power markets; linear programming; contracts; power generation scheduling

Other keywords: day-ahead market; electricity market price; vertically integrated electric market; generation companies; CPLEX; pool-based electricity energy market; deterministic mixed-integer linear programming; two-stage stochastic model; battery swapping station; optimal stochastic scheduling; bilateral contract capacity; contract price; uncertain wind power; renewable energy; wind power penetration; stochastic problem; stochastic BSS electricity demand; thermal-wind GENCOs trading

Subjects: Power system management, operation and economics; Optimisation techniques; Other topics in statistics; Wind power plants

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